Loading up on USO

Beginning to gradually take a position in USO right now.

Anyone else with me ? Just started buying some, and plan on buying more if we go any lower.

Have some buddies that work for Hess, and they don't believe this $40 oil is sustainable.

Worst case scenario, oil loses another $20 and I just load up more.

 

Oil can go lower than the 20's, and what happens to USO if oil goes to the lower teens?

Possible for USO to go to ZERO.

 

You really think Oil will go lower than the 20's ?

 

I put in $20,000 friday and I put in $20,000 today. I've got a stop loss of around 10%...
the next leg down, if it comes to that, is the low 30's.

 

lol.

 

good idea

 

It's actually possible for USO to go to (near) zero by the way it invests in futures. Oil may go up slightly or stay stagnant but USO will lose on the higher priced futures.

 

I was thinking about going long. I think crude will probably trade down until the contract rolls on Friday. Then the March contract will test 40 and I'll play it from there.

 

Here's a pretty bullish chart I drew up of uso. I'm not throroughly convinced though...

 

if equities tank next week on earnings reports onslaught oil will be tanking as well...could see 2o's.